WA Perth - Yield focused

Any recommendations on suburbs with high yields

Im aware armadale/kelmscott and swan valley region (midlands/ swan view)

But anywhere else where 5% is possible with a little extra value (eg 400k buy in price than a 250k purchase?)

Looking at houses only (older 3/1/1) for the purpose of my analysis

Also not interested in Rockingham at this stage

Anywhere I can search stats for myself? Tried realestate.com.au but searching each suburb is quiet annoying

 

I see Huntingdale mentioned on here
https://www.realestate.com.au/buy/between-0-400000-in-huntingdale,+wa+6110/list-1?source=refinement

Perth is riddled with 5% properties
Capital gain may not me good
No idea how much more is needed to make the sleepout a granny flat
https://www.realestate.com.au/property-house-wa-clarkson-133817122

 

Both are definitely within the criteria

Though prefer suburbs around 400k (Huntingdale appears mid - high 2s) with 400pw rent or well as high as possible without dipping much below 5%

Looking at average prices than suburbs - so I can search a bit better at this stage

 

It is unlikely that a suburb based statistic is going to give you what you want. Rarely is yield static over a suburb.

If you are starting with suburb analysis then you might want to use the Reiwa website which has more local field and more market information

Perth Property Market Data | WA House Prices, Sales & More

 

Thanks will check it out

Definitely right there in terms of stats not giving me what I want but it can give me an idea towards what I want

 

Not sure about potential yield but around the 400k mark I would look at Beechboro or South Lake type suburbs. Probably require a dual occ type of set up but you’ll get decent land >500sqm for CG as a kicker.

 

A couple of good resources is:

https://www.realestate.com.au/neighbourhoods/

• This will give you rental/sale data broken up by bedroom / dwelling type. A little bit more accurate than median gross yields.

SQM Research - Property - Property Gross Rental Yield - Postcode 2000

• Here you can see the gross yields per suburb.

 

For yield and consistency of it, I would by a house with 2 bathrooms. Wouldn't go as far out as Armadale/Kelmscott. Huntingdale/Thornlie are good options. 5% is a piece of cake 6%+ can be hard in the current market but not impossible.

 

you can get yields for over 6% in some areas, not areas I'd be advising to buy for capital growth, I'd prefer a slightly lower yield with better capital growth potential.

But if you are purely focusing on yields, this might help you -
https://www.perthnow.com.au/busines...-for-investment-properties-in-perth-c-1167963

 

I certainly would not invest in any of the suburbs mentioned in that article. Gotta love MSM..
Much better off going for, as you said: "slightly lower yield with better capital growth potential"

A 5% option closer in as @JohnPropChat mentioned above is very achievable.

 

There are some really good options achieving those yields and much better capital growth prospects.
No point trying to focus on making $2000-$3000 extra a year on yield, when you can potentially achieve 5-10% growth.

 

That is one shocker of a list of suburbs.

 

I'd say Maddington / Cannington is best bet.

 

Cannington maybe, Maddington less so. Stick to the west of Albany Hwy or move closer to the city.

 

Hey sorry haven't seen these posts lately.
The initial post was about the 400k mark - still feel thats too much in thornlie (unless its a new larger house).

Don't know anything about them but on paper Cannington/Queens Park seemed good (though 5% may have been a struggle but 4 is quiet achievable)

I also felt north east maybe bassendean, Hazelmere could have squeezed in

Though after certain research of my own finances unfortunately I wont be able to invest in this budget so have moved down to the bottom of barrel (Armadale/Kelmscott)

@JohnPropChat
You mentioned you wouldn't go far out as this - Just wondering your opinion (in reality im chasing 5% net - not including maintenance and interest rates)

 

What's your budget for this time around?

 

Sorry my previous post wasn't complete
You mentioned you wouldn't go out armadale/kelmscott - just wondering your opinion of why not. I understand the low price/demographic issues but just wanted to see your specific reasoning.

Budgeting in 200s (prefer on the low side) - I know for this Gosnells is possible and when moving to the highs even thornlie. Also had a look at north side with swan valley area and westminister/balga area

Got any opinion on regionals (WA) - Bunbury?

 

No comment on regionals, when Perth is moving along nicely.

Reasoning is just that, tenant issues and property damage which will quickly eat into your cashflow.

I've mentioned this in other threads, I've made money from the suburbs of Armadale and Gosnells before. You need to be very thorough in your research with specific pockets and the stock you are buying to attract and retain good quality tenants. Other than that, happy investing.

Westiminster/Balga had lot of discussion on these threads. There is a reason why a near new 3x2 villa sells for mid $200k's. Not for everyone but if you know what you are doing and have a clear exit strategy then why not.

Managing a property interstate means you are completely reliant on the PM and "fixing things" can get real expensive real quick.

What you want to spend on this project is obviously a personal choice but I strongly recommend to look for stock in high 200's in suburbs that are as close to the city as possible and with as much land as possible. If you are really stretched to spend in the low $200ks then Armadale etc are game.

 

Completely agree with what you mentioned and probably would not recommend purchasing unless your able to hit 5% net yield (not including borrowing costs) and even then I would say not for the faint hearted.

Also agree with the rest of the points you made and what you said about Westiminster/Balga with the amount of supply was a definitely a turn off of the area.

Anyway whole point of the tread was upper end suburb for yield in Perth and seems like a few decent suggestions have been made.

For me its a bit of a side project - hopefully will post a bit more details up when im a bit more finalised into the location and product

 

Redcliffe is good return... with new DFO, train station & Costco coming up I would expect it will grow soon.

I already bought 2 properties in Redcliffe based on hotspot report and I am from Melbourne.